McQueary is saying that they violated the Whistleblower Act, which essentially states that an employee can't be held liable and punished for reporting illegal activity. Here's the actual language from the law:
While McQueary did indeed report an incident of wrongdoing to his employer, it's going to be hard for him to prove that Penn State fired him because of that. Based on the mere fact that McQueary didn't physically stop Sandusky and separate him and the child, Penn State had sufficient reason to fire him.
Also, while the term "whistleblower" is defined in the above paragraph as someone who reports wrongdoing to the appropriate authority OR to the employer, it's generally perceived as someone who reports it to the "appropriate authority."
There's no doubt in anyone's mind whatsoever about McQueary's shortcomings in this area. He absolutely didn't report this criminal act to an appropriate authority. That would have been the police. McQueary never brought the incident to the police, and that was part of the reason it took years to bring Sandusky to judgment.
Nice try, Mike, but you're not going to find a lot of support here on this one.